Voluntary Announcement: Fulfilment of Conditions Precedent regarding the Disposal AFRICAN RAINBOW MINERALS LIMITED (Incorporated in the Republic of South Africa) Registration number: 1933/004580/06 Share code: ARI ISIN: ZAE000054045 (“ARM” or “the Company”) VOLUNTARY ANNOUNCEMENT: FULFILMENT OF CONDITIONS PRECEDENT REGARDING THE DISPOSAL OF ARM’S INTEREST IN LUBAMBE COPPER MINE (THE “DISPOSAL”) Further to the announcement released on the Stock Exchange News Service of the JSE Limited on Tuesday, 15 August 2017, ARM shareholders are advised that all conditions precedent pertaining to the Disposal have now been fulfilled. The disposal of the equally held 80% interest of ARM and Vale International SA, a wholly owned subsidiary of Vale S.A. (“Vale”), in Lubambe Mine therefore became unconditional on 21 December 2017. The total purchase consideration payable, directly and indirectly, to ARM and Vale in respect of the Disposal is US$97.10 million, which will be settled in cash. The final amount receivable, directly and indirectly, by ARM and Vale, is subject to, amongst others, the following adjustments, which will be finalised on completion of the Disposal: i. settlement of Lubambe’s general banking facility of approximately US$26 million; ii. payment of property transfer tax payable in an amount of approximately US$10 million; and iii. refund of funding provided to Lubambe after 1 May 2017 in an amount of approximately US$25 million. For all investor relations queries, please contact: Jongisa Magagula Head of Investor Relations and Corporate Development Office: +27 11 779 1507 Mobile: +27 82 562 5288 Email: jongisa.magagula@arm.co.za Johannesburg 22 December 2017 Investment Bank and Transaction Sponsor to ARM The Standard Bank of South Africa Limited Legal adviser to ARM Bowman Gilfillan Sponsor to ARM Deutsche Securities (SA) Proprietary Limited Date: 22/12/2017 12:05:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.